Specialty materials maker Luxfer Q3 profit beats estimates on robust demand in defense sector

Luxfer reported Q3 adjusted net sales rose 1.6%, surpassing analyst expectations, with adjusted EPS increasing 11.1% to $0.30. The company raised its full-year 2025 guidance for adjusted EPS to $1.04-$1.08 and adjusted EBITDA to $50-$51 million, driven by strong demand in the defense and aerospace sectors. The completion of the Graphic Arts sale allows Luxfer to focus on core markets, while a new Powders Center of Excellence is expected to enhance growth and save $2 million annually. Wall Street's median 12-month price target for Luxfer is $17.00, reflecting a 21.2% upside from its recent closing price.

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Overview

Luxfer Q3 adjusted net sales rise 1.6%, beating analyst expectations, per LSEG data
Adjusted EPS for Q3 beats consensus, rising 11.1% to $0.30
Company raises full-year 2025 guidance for adjusted EPS and EBITDA

Outlook

Luxfer raises full-year 2025 guidance to adjusted EPS of $1.04 to $1.08
Company expects full-year 2025 adjusted EBITDA of $50 mln to $51 mln

Result Drivers

DEFENSE AND AEROSPACE DEMAND - Co attributes strong profitability and cash generation to continued demand in defense and aerospace sectors
FOCUS ON CORE MARKETS - Completion of Graphic Arts sale allows co to sharpen focus on core and high-value markets
POWDERS CENTER OF EXCELLENCE - New center within Elektron expected to enhance growth and deliver $2 mln of annual savings

Key Details

Metric Beat/Mis Actual Consensu

s s

Estimate

Q3 Sales Beat $92.90 $92.70

mln mln (1

Analyst)

Q3 Beat $0.30 $0.25 (1

Adjusted Analyst)

EPS

Q3 EPS $0.09

Q3 Beat $13.60 $12.10

Adjusted mln mln (1

EBITDA Analyst)

Analyst Coverage

Wall Street’s median 12-month price target for Luxfer Holdings PLC is $17.00, about 21.2% above its October 27 closing price of $13.40
The stock recently traded at 12 times the next 12-month earnings vs. a P/E of 13 three months ago

Press Release: For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact . (This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)